The Swiss Blue Orchard micro-financing fund opened this week a credit line of $1 million to the AzerbaijanвЂ™s Bank of Micro-Financing (ABMF), the bankвЂ™s Board chairman Tomas Engelhardt told Trend. Signing of the loan agreement between the bank and the Fund took place the previous week. ABMF is the first AzerbaijanвЂ™s bank to receive the credit line from Blue Orchard.
Credit resources will be directed to funding the micro and small business in the country. The credit line is designed for three years and its realization will finish during two months. According to Engelhardt, placement of the Blue Orchard funds will complete till January 2006.
The terms for issuing loans are standard. The Bank of micro-financing issues currently loans for micro and small entrepreneurship for the period from two to 36 months within 18-36% per annum.